Fuel prices not being reduced

By Praveen Edburg | Tuesday, October 28, 2008


There was a time when crude oil prices were hovering at about $150 per barrel and then the government made price hikes in petrol and diesel prices. But now that the crude oil prices have gone down at less than half the price of what it was a few months ago (now its about $65), the government still has not made any attempts so far to reduce the prices.

While the government was quick to increase the prices, then why are they not reducing the prices as quick? I wonder of these extra profits are going to the government or the oil companies. My guess is that the government will reduce the prices only when elections are announced to persuade the people that the government is doing them a favor. 

I agree that there may be many formalities and factors to be considered in deciding fuel prices but taking this much time is not at all acceptable.







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